Three barred from preparing tax returns

October 04, 2010

Three Huntington Beach residents have been barred from preparing federal tax returns for customers after they claimed fraudulent tax refunds, officials said Wednesday.

Alexander H. Adams, of Adams Beach Income Tax, and his sons Brandon A. Adams and Garrett R. Adams have been barred as of Wednesday by Los Angeles U.S. District Judge A. Howard Matz from preparing federal tax returns and promoting tax fraud schemes, according to the Department of Justice.

The tax fraud schemes, called the commercial redemption program, revolved around filing false refunds based on fake income tax withholdings.

The court found the three have prepared tax returns with false refunds of more than $500,000 and two of the claims were for $2.5 million.